Uranium: Everything Points To A Strong High Season Decoupled From The Stock Market And Recession Fears

Summary

Kazakhstan’s 17% uranium production cut for 2025, combined with rising demand, suggests a higher uranium spot price and potential gains in uranium ETFs or stocks.

The uranium market shifted from oversupply (2011-2017) to structural deficit since 2018, depleting inventories and setting the spot price market up for price gains.

Uranium demand is perfectly inelastic; reactor operations require specific uranium amounts, making price fluctuations less impactful on demand. Uranium’s cost impact on electricity is minimal compared to gas, enabling substantial price movements without significantly affecting electricity prices. Ole_CNX Thesis Just before the uranium market enters its high season, Kazakhstan, which accounts for approximately 45% of the world’s production, announced a 17% production cut for 2025. This announcement provides a strong reason to explore the market further and see if there is more to uncover as we approach the high season. Due to a combination of factors, this high season […]

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